Final answer:
A bit is the smallest unit of data in a computer that represents a single binary value of either 0 or 1. Bits are the building blocks of digital computing and are used within the integrated circuits of electronic devices to encode, transmit, and manipulate data.
Step-by-step explanation:
The smallest unit of data in a computer that has a single value, either 0 or 1, is known as a bit. These bits are fundamental to digital computing and are used to represent data through binary code. Electronic devices, including computers, use digital signals composed of these bits to perform various tasks. These tasks include data manipulation facilitated by components such as diodes and transistors, which operationally behave like on-off switches. When a transistor is on, it represents a value of 1, and when it's off, it represents a value of 0. A vast collection of transistors is integrated onto microchips to handle the binary code in efficient and compact electronic circuits.